volume 34, number 32 ● november 21, 2008

CalChamber: How Public Policy Can Help Industry-Specific Restore State’s Fiscal Health Taxes Hurt Economy, Budget Solution With the 1) Create and seize economic develop- ment opportunities. During the last Industry-specific tax increases will economy economic downturn, the Legislature elim- hamper the economic recovery necessary contracting and inated California’s Trade and Commerce to improve the state’s budget outlook, the the state budget Agency, which was responsible for California Chamber of Commerce told deficit increasing, the Governor and state legislators last the Governor has week. appropriately Commentary “Our state’s fiscal health will never called for swift By Allan Zaremberg improve without a strong economy,” and decisive CalChamber Vice President of action. Our Government Relations Marc Burgat policy leaders wrote in a letter sent November 13 to must carefully examine which program Governor , reductions and which revenue-raising Three-Point Plan to Stimulate Economy with copies to legislators. “As such, proposals hurt our economic recovery each budget proposal must be balanced and what new measures will stimulate between the need to maintain necessary productivity, employment and the Create and seize economic government programs and stimulate creation of wealth for all Californians. 1 development opportunities. economic growth.” The California Chamber of Commerce The CalChamber sent the letter in has recently commented on some of the Reduce the cost and risk of anticipation of the November 14 meeting proposed tax increases (see article at 2 keeping and growing jobs. of the Assembly Budget Committee. right), but our state’s fiscal health will The committee reviewed the Governor’s never improve without a strong economy. Jump-start public and proposal combining cuts, taxes and While the recession is global in 3 private infrastructure and economic stimulus measures to address reach, state public policy can make commercial projects. the state’s estimated $11.2 billion budget material improvements for California deficit (see November 7 Alert), but made and, importantly, have an impact on how no recommendations. swiftly and strongly we will recover from The letter continued as follows: this slowdown. economic development. We can no longer take economic development for granted. “We strongly support your early Three-Point Plan The Governor should establish a focused leadership in working to solve the budget crisis and your call for an economic As an initial contribution to raising this economic development effort, led by his office, including: stimulus package to be included in the issue, we suggest a three-point plan to budget solution. l Assemble “Strike Forces” of key stimulate productivity, employment and See CalChamber: Page 3 the creation of wealth for all Californians. state, local, utility and private officials to streamline permits, identify financial incentives, and involve all decision makers on a project team. The focus Inside Your Ideas, Please! would be facilitation, not regulation, and What can be done to reduce the goal would be a successful project, l Services Tax: Page 3 the cost of doing business in not reducing environmental standards. l Pictorial Roster of Legislature: California? E-mail your ideas to Nobody can help solve a local air quality Special Insert [email protected]. issue like a regional air pollution regulator; See How: Page 4 november 21, 2008 ● Page 2 california chamber of commerce

Labor Law Corner Employee on Protected Leave Not Necessarily Immune to Layoffs

of absence has no greater rights than he/ law unless there is an internal policy to she would if actively working. that effect; therefore, job performance is Nevertheless, various scenarios come a valid consideration in deciding which to mind. For example, in the question employees might be let go. posed above, if the surveying department l Any internal policies/handbook rules consists of 15 people, and one of those should be followed to avoid a breach of employees is on FMLA for baby bonding contract claim. time, there should not be an issue l Layoff decisions should take into Dana Leisinger consideration whether individuals are Senior Helpline regarding laying off everyone in the Consultant department, including the individual on on a protected leave of absence, as FMLA. noted above, so as not to target those individuals. We’re an engineering firm facing great Multiple Layoffs difficulties due to the economy. We need l If the layoff falls within the to lay off the employees in our surveying But different concerns might arise parameters of the Worker Adjustment and department, but one of them is on Family in a setting when there are cutbacks Retraining Notification Act (WARN), and Medical Leave Act (FMLA) leave to contemplated, and three people are those rules apply. bond with his new baby. Do we have to subject to layoff—yet two of those l If the company has organized labor, hold his job open for him? individuals are on protected leaves of the terms of the collective bargaining unit The answer is not as easy as one might absence out of a workforce of 75 people. should govern. think. An employee on a protected leave In this situation, the targeting of two This is not an exhaustive list, and people on a protected leave might come any layoff should involve examination under scrutiny. A claim of retaliation of business needs combined with consultation with an employment law California Chamber Officers might result if the decision is not properly researched and backed by business attorney to guide through these difficult Edwin A. Guiles necessity. times. Chair Frederick R. Ruiz Keep in Mind The Labor Law Helpline is a service First Vice Chair to California Chamber of Commerce Many companies are facing layoffs, preferred and executive members. For expert Larree M. Renda and there are few rules that govern explanations of labor laws and Cal/OSHA Second Vice Chair employers, but the following concerns regulations, not legal counsel for specific S. Shariq Yosufzai should be kept in mind: situations, call (800) 348-2262 or submit your Third Vice Chair l There is no “last hired/first fired” question at www.hrcalifornia.com. Russell Gould Immediate Past Chair Allan Zaremberg President and Chief Executive Officer CalChamber-Sponsored Seminars/Trade Shows

Alert (ISSN 0882-0929) is published weekly For more information, visit www. (KOTRA). January 15, Seoul, Korea. during legislative session with exceptions by calchamber.com/events. (650) 571-8483. California Chamber of Commerce, 1215 K International Trade Labor Law Street, Suite 1400, Sacramento, CA 95814- 3918. Subscription price is $50 paid through NorCal World Trade Center Holiday On-Demand Web Seminar Library. membership dues. Periodicals Postage Paid at Mixer. Sacramento Metro Chamber CalChamber. Through December 31. Sacramento, CA. and the Northern California Call for details. (800) 331-8877. POSTMASTER: Send address changes to World Trade Center. December 2, Alert, 1215 K Street, Suite 1400, Sacramento, Sacramento. (916) 447-9827. CA 95814-3918. Publisher: Allan Zaremberg. SoCal Port Workshop. Waterfront CalChamber Calendar Executive Editor: Ann Amioka. Associate Editor: Blake Ellington. Art Director: Marcy Coalition. December 2–3, Long Business Services Committee: Wacker. Capitol Correspondent: Christine Beach. (202) 861-0825. December 4, Haddon. Photographer: Aaron Lambert. CeBIT 2009-Breakfast Presentation. Education Committee: Permission granted to reprint articles if credit Hannover Fairs USA. December 3, December 4, San Francisco is given to the California Chamber of Com- Irvine. (562) 901-9191. Fundraising Committee: merce Alert, and reprint is mailed to Alert at CeBIT TeleHealth/eHealth Breakfast December 4, San Francisco address above. Briefing. Hannover Fairs USA. Board of Directors: E-mail: [email protected]. December 5, Millbrae. (415) 705-1765. December 4-5, San Francisco Home page: www.calchamber.com. Buy Korea 2009: Korean Product Annual Meeting: Showcase. Korea Business Center December 5, San Francisco california chamber of commerce november 21, 2008 ● Page 3

Analysis Services Tax May Need Voter OK to Yield Revenue for Local Governments

Will local governments benefit from that levy the tax. So whether it is the that the “Legislature may not impose Governor Arnold Schwarzenegger’s state General Fund, the city of Dinuba or taxes for local purposes.” groundbreaking proposal to broaden the the County Transportation l Second, local governments may sales tax base to include a limited set of Commission, all collect taxes from sales impose new taxes only under the services? of cars, clothes, restaurant meals and any authority of Proposition 218 (Article XIII Consumers today pay a sales tax other tangible good deemed taxable by C), which requires local voter approval ranging from 7.25 percent to 8.75 the Legislature or Board of Equalization. — two-thirds for special taxes and a percent, depending on where they make Then would not local governments majority vote for general taxes. the purchase. The General Fund portion receive a windfall of revenues if the Therefore, the only circumstance of this rate is 5 percent (the Governor Legislature broadened the sales tax base? under which local agencies would receive proposes raising this by another 1.5 Probably not. revenues from a broadening of the sales percentage points), with cities, counties It turns out the state Constitution may tax base would be if they asked their and special districts levying the balance. have several speed traps to prevent just voters to approve such a tax. It would not Although the rate is variable, the sales such boon to local agencies: be an inevitable consequence of a broader tax base is consistent for all jurisdictions l First, Article XIII, Section 24 states sales tax base.

CalChamber: Industry-Specific Taxes Hurt Economy, Budget Solution

From Page 1 production in California will ultimately California businesses. Adding the “Sound fiscal policy will result in make California oil more expensive services tax to the new proposed general material improvements to California’s than that produced in foreign countries sales tax hike would be a sudden, nearly economy and encourage a swift and and harm our state’s competitiveness. It 10 percent price increase in repairs, strong rebound from the current won’t change the amount of oil used in entertainment events and veterinary slowdown. On the other hand, the wrong California, but it will result in loss of high services. We have no doubt that such an policies will only make matters worse. quality jobs in the industry, increased increase would result in substantially less Ultimately, the solution to California’s imports to the state and increased prices business at repair shops, attendance at budget crisis will only come from robust at the pump. entertainment events, and care for ailing economic growth and job creation. “Likewise, singling out the alcoholic pets. “With this in mind, we must make beverage industry for a $293 million tax “We recognize that arriving at you aware of the most troubling revenue- increase will directly affect our important solutions to the state’s budgetary raising proposals included in your plan, wine industry and beer production problems are difficult at best, but these namely, tax increases that single out a facilities, costing high quality jobs in targeted tax increases will hamper our specific industry or profession to shoulder both sectors. economic recovery just when we will billions of dollars of permanent tax “In addition to the above mentioned need jobs and tax revenues the most. burden. These industry-specific taxes kill proposals, we also oppose sales taxes Although we support your leadership good jobs and harm industries unique to on services and on entertainment. These and call for economic stimulus, we must California. taxes would impede sustained economic oppose these industry-specific taxes.” “For example, a new tax on oil recovery and burden already-struggling Staff Contact: Marc Burgat

World’s Largest Tech Trade Show Seeks California Businesses

The California Chamber of Commerce California’s participation at CeBIT Those interested in being a CeBIT is encouraging members to attend a 2009 will spotlight the state’s innovative exhibitor should attend the December 3 December 3 presentation on the benefits information and communications tech­ presentation at the Irvine Marriott Hotel. to businesses that participate at CeBIT, nologies in several key industries, A briefing focusing on exporting health the world’s leading trade fair for digital including: entertainment, Internet-based and telehealth technologies is scheduled business solutions and information and services, telehealth, security, consumer for December 5 at the Westin San communications. electronics, digital content generation and Francisco Airport. California is a partner state for CeBIT. distribution, aerospace and research and For more information about CeBIT, This is the first time that a state, not a technology. California also will feature its visit www.hfusa.com. country, will serve as a partner. green information technology initiatives. Staff Contact: Susanne Stirling november 21, 2008 ● Page 4 california chamber of commerce

How Public Policy Can Help Restore State’s Fiscal Health

From Page 1 country. This would allow employers to economic development. Investment in nobody can overcome California offer four-day work weeks without incur- public and private infrastructure is imper- Environmental Quality Act (CEQA) ring additional wages. It is also good for ative for California to take advantage of traffic mitigation issues like a team of workers because they can reduce the eventual economic recovery. Caltrans and local transit officials. These commutes and the costs that go with them In particular, the Legislature should focused, collaborative efforts should by 20 percent. Governor Schwarzenegger provide a temporary safe harbor from become a regular feature of doing busi- proposed changing overtime rules for CEQA private causes of action on climate ness in California. high-wage employees, but this reform change impacts until actual significance l Identify and package statewide should be made available to all California thresholds are adopted by lead agencies, incentives, such as federal grants and workers. such as the Air Resources Board. Until special fee-supported revenues, which can l California should clarify its rules such standards are adopted, there should be used to entice new business develop- regarding meal and rest periods to allow be even greater deference to a lead ment. The Governor and Treasurer more flexibility for employers and agency; otherwise, these cases will inevi- accomplished this as a one-off deal with employees. Again, the Governor took an tably wind up in court. Tesla Motors to help subsidize this alter- initial, important step on this issue, but a The Governor should also direct his native vehicle manufacturer’s costs of comprehensive fix is necessary to reduce administration to quickly identify every investment. This effort should become costs and save jobs. short-term, appropriate public works systemic with an identified source of l To combat the galloping increase in project financed by general obligation funding. health care costs, the multitude of bonds, lease-revenue bonds, federal funds l Prior to the budget crisis, the coverage and benefit mandates governing or other dedicated funds and set aggres- Governor successfully marketed health care plans should be reduced. sive goals for advancing those projects California’s economic development to the Different industries will have a variety into construction phase within six months. rest of the world through trade missions. of other issues that keep their operating We encourage the Governor to reinitiate, costs unnecessarily high; but it is clear in Minimize Harm/ both domestically and internationally, his this time of economic crisis that only Promote Growth successful sales pitch on the California reduced costs will allow them to stay in As dire as the budget deficit is for economy. business and maintain a payroll—and public programs, employees and program maintain tax revenues to state and local beneficiaries, we must not lose sight of 2) Reduce the cost and risk of keeping governments. the economy-wide suffering of private and growing jobs. The biggest impedi- sector workers and their employers. We ment to California’s short-term economic 3) Jump-start public and private infra- recognize that the budget deficit cannot competitiveness is the high cost of doing structure and commercial projects. The be solved solely with program reductions business here. Reducing costs on Governor has proposed streamlining and or revenue increases. California employers will result in more expediting some environmental permits Ultimately, a common-sense approach employment and free up money for for transportation projects, an important that minimizes harm to the existing capital expansion, which will in turn first step in creating new economic economy and aggressively promotes create more jobs. investment. But what is good for public growth will spark and sustain recovery. A To accomplish this, all government works projects is even better for private recovered economy is the only way to get mandates should be examined with the sector projects. our state budget back on track. aim of reducing employer costs without Public projects can be a catalyst, but sacrificing important public policies. For we should not limit our vision only to Allan Zaremberg is president and chief example: public works; private construction proj- executive officer of the California l California should conform our out- ects can produce many more jobs and Chamber of Commerce. of-date overtime laws to the rest of the create the foundation for ongoing

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California Constitutional/Statewide Officers

Governor Lieutenant Governor Attorney General Secretary of State Arnold Schwarzenegger (R) John Garamendi (D) Jerry Brown (D) Debra Bowen (D) State Capitol State Capitol, Room 1114 1300 I Street 1500 11th Street, 6th Floor Sacramento, CA 95814 Sacramento, CA 95814 Sacramento, CA 95814 Sacramento, CA 95814 (916) 445-2841 (916) 445-8994 (916) 324-5437 (916) 653-6814

Treasurer Controller Insurance Commissioner Superintendent of Public Instruction Bill Lockyer (D) John Chiang (D) Steve Poizner (R) Jack O’Connell (D) 915 Capitol Mall, Room 110 300 Capitol Mall, Suite 1850 300 Capitol Mall, Suite 1700 1430 N Street Sacramento, CA 95814 Sacramento, CA 95814 Sacramento, CA 95814 Sacramento, CA 95814 (916) 653-2995 (916) 445-2636 (916) 492-3500 (916) 319-0800

Board of Equalization — District 1 Board of Equalization — District 2 Board of Equalization — District 3 Board of Equalization — District 4 Betty T. Yee (D) Bill Leonard (R) (R) Judy Chu (D) 455 Golden Gate Avenue, Suite 10500 4295 Jurupa Street, Suite 204 450 N Street 450 N Street San Francisco, CA 94102 Ontario, CA 91761 Sacramento, CA 95814 Sacramento, CA 95814 (415) 557-3000 (909) 937-6106 (916) 445-5713 (916) 445-4154 california chamber of commerce legislative pictorial review — november 21, 2008 California State Senators

Samuel Aanestad (R), SD 4 — Elaine Alquist (D), SD 13 Roy Ashburn (R), SD 18 — Inyo, John J. Benoit (R), SD 37 — Ron Calderon (D), SD 30 Butte, Colusa, Del Norte, Glenn, — Part of Santa Clara. part of Kern, San Bernardino and Part of Riverside. (916) 651-4037. — Part of Los Angeles. Shasta, Siskiyou, Sutter, Tehama, (916) 651-4013. Tulare. (916) 651-4018. (916) 651-4030. Trinity, Yuba, part of Nevada and Placer. (916) 651-4004.

Gilbert Cedillo (D), SD 22 — Part Dave Cogdill (R), SD 14 — Ellen Corbett (D), SD 10 — Lou Correa (D), SD 34 — Part Dave Cox (R), SD 1 — Alpine, of Los Angeles. (916) 651-4022. Mariposa, Tuolumne, part of Part of Alameda and Santa Clara. of Orange. (916) 651-4034. Amador, Calaveras, El Dorado, Fresno, Madera, San Joaquin and (916) 651-4010. Lassen, Modoc, Mono, Nevada, Stanislaus. (916) 651-4014. Plumas, Sierra, part of Placer and Sacramento. (916) 651-4001.

Jeff Denham (R), SD 12 — Mark DeSaulnier (D), SD 7 — Denise Moreno Ducheny (D), Bob Dutton (R), SD 31 Dean Florez (D), SD 16 — Merced, San Benito, part of Part of Contra Costa. SD 40 — Imperial, part of — Part of Riverside and San Kings, part of Fresno, Kern and Madera, Monterey and (916) 651-4007. Riverside and . Bernardino. (916) 651-4031. Tulare. (916) 651-4016. Stanislaus. (916) 651-4012. (916) 651-4040.

Loni Hancock (D), SD 9 — Part Tom Harman (R), SD 35 — Dennis Hollingsworth (R), Bob Huff (R), SD 29 — Christine Kehoe (D), SD 39 — of Alameda and Contra Costa. Part of Orange. (916) 651-4035. SD 36 — Part of Riverside and Part of Los Angeles, Orange and Part of San Diego. (916) 651-4009. San Diego. (916) 651-4036. San Bernardino. (916) 651-4039. (916) 651-4029. california chamber of commerce legislative pictorial review — november 21, 2008 California State Senators

Mark Leno (D), SD 3 — Marin, Carol Liu (D), SD 21 — Part of Alan Lowenthal (D), SD 27 Abel Maldonado (R), SD 15 Gloria Negrete McLeod (D), SD part of San Francisco and Los Angeles. (916) 651-4021. — Part of Los Angeles. — San Luis Obispo, part of 32 — Part of Los Angeles and Sonoma. (916) 651-4003. (916) 651-4027. Monterey, Santa Barbara, Santa San Bernardino. (916) 651-4032. Clara and Santa Cruz. (916) 651-4015.

Jenny Oropeza (D), SD 28 — Part Alex Padilla (D), SD 20 — Part Fran Pavley (D), SD 23 — Part Mark Ridley-Thomas (D), SD Gloria Romero (D), SD 24 of Los Angeles. of Los Angeles. (916) 651-4020. of Los Angeles and Ventura. 26 — Part of Los Angeles. — Part of Los Angeles. (916) 651-4028. (916) 651-4023. (916) 651-4026. (916) 651-4024.

George C. Runner (R), SD 17 Joe Simitian (D), SD 11 — Part (D), SD 6 — Tony Strickland (R), SD 19 Mimi Walters (R), SD 33 — — Part of Kern, Los Angeles, San of San Mateo, Santa Clara and Part of Sacramento. — Part of Los Angeles, Santa Part of Orange. Bernardino and Ventura. Santa Cruz. (916) 651-4011. (916) 651-4006. Barbara and Ventura. (916) 651-4033. (916) 651-4017. (916) 651-4019.

Patricia Wiggins (D), SD 2 — Lois Wolk (D), SD 5 — Yolo, Roderick Wright (D), SD 25 Mark Wyland (R), SD 38 — Leland Yee (D), SD 8 — Part of Humboldt, Lake, Mendocino, part of Sacramento, San Joaquin — Part of Los Angeles. Part of Orange and San Diego. San Francisco and San Mateo. Napa, part of Solano and and Solano. (916) 651-4005. (916) 651-4025. (916) 651-4038. (916) 651-4008. Sonoma. (916) 651-4002. california chamber of commerce legislative pictorial review — november 21, 2008 California State Assembly Members

Anthony Adams (R), AD 59 Tom Ammiano (D), AD 13 — Joel Anderson (R), AD 77 Juan Arambula (D), AD 31 Karen Bass (D), AD 47 — Part — Part of Los Angeles and San Part of San Francisco. — Part of San Diego. — Part of Fresno and Tulare. of Los Angeles. (916) 319-2047. Bernardino. (916) 319-2059. (916) 319-2013. (916) 319-2077. (916) 319-2031.

Jim Beall (D), AD 24 — Part of Bill Berryhill (R), AD 26 Tom Berryhill (R), AD 25 — Sam Blakeslee (R), AD 33 Martin Block (D), AD 78 Santa Clara. (916) 319-2024. — Part of San Joaquin and Calaveras, Mariposa, Mono, — San Luis Obispo, part of — Part of San Diego. Stanislaus. (916) 319-2026. Tuolumne, part of Madera and Santa Barbara. (916) 319-2033. (916) 319-2078. Stanislaus. (916) 319-2025.

Bob Blumenfield (D), AD 40 Julia Brownley (D), AD 41 Joan Buchanan (D), AD 15 — Anna Marie Caballero (D), AD Charles Calderon (D), AD 58 — Part of Los Angeles. — Part of Los Angeles and Part of Alameda, Contra Costa, 28 — San Benito, part of — Part of Los Angeles. (916) 319-2040. Ventura. (916) 319-2041. Sacramento and San Joaquin. Monterey, Santa Clara and Santa (916) 319-2058. (916) 319-2015. Cruz. (916) 319-2028.

Wilmer Amina Carter (D), AD Wesley Chesbro (D), AD 1 — Connie Conway (R), AD 34 — Paul Cook (R), AD 65 — Part of Joe Coto (D), AD 23 — Part of 62 — Part of San Bernardino. Del Norte, Humboldt, Lake, Inyo, part of Kern, San Bernardino Riverside and San Bernadino. Santa Clara. (916) 319-2023. (916) 319-2062. Mendocino, Trinity, part of and Tulare. (916) 319-2034. (916) 319-2065. Sonoma. (916) 319-2001. california chamber of commerce legislative pictorial review — november 21, 2008 California State Assembly Members

Mike Davis (D), AD 48 — Part Hector de la Torre (D), AD 50 Kevin de León (D), AD 45 Chuck DeVore (R), AD 70 Mike Duvall (R), AD 72 — Part of Los Angeles. (916) 319-2048. — Part of Los Angeles. — Part of Los Angeles. — Part of Orange. of Orange. (916) 319-2072. (916) 319-2050. (916) 319-2045. (916) 319-2070.

Bill Emmerson (R), AD 63 Mike Eng (D), AD 49 — Part of Noreen Evans (D), AD 7 Mike Feuer (D), AD 42 — Part Nathan Fletcher (R), AD 75 — Part of Riverside and San Los Angeles. (916) 319-2049. — Napa, part of Solano and of Los Angeles. (916) 319-2042. — Part of San Diego. Bernardino. (916) 319-2063. Sonoma. (916) 319-2007 (916) 319-2075.

Paul Fong (D), AD 22 — Part of Felipe Fuentes (D), AD 39 Jean Fuller (R), AD 32 — Part Warren Furutani (D), AD 55 Ted Gaines (R), AD 4 — Al- Santa Clara. (916) 319-2022. — Part of Los Angeles. of Kern and San Bernardino. — Part of Los Angeles. pine, part of El Dorado, Placer (916) 319-2039. (916) 319-2032. (916) 319-2055. and Sacramento. (916) 319-2004.

Cathleen Galgiani (D), AD 17 Martin Garrick (R), AD 74 Danny Gilmore (R) AD 30 — Curt Hagman (R), AD 60 — Part Isadore Hall (D), AD 52 — Part of — Merced, part of San Joaquin — Part of San Diego. Kings, part of Fresno, Kern and of Los Angeles, Orange and San Los Angeles. (916) 319-2052. and Stanislaus. (916) 319-2017. (916) 319-2074. Tulare. (916) 319-2030. Bernardino. (916) 319-2060. california chamber of commerce legislative pictorial review — november 21, 2008 California State Assembly Members

Diane Harkey (R), AD 73 — Mary Hayashi (D), AD 18 Ed Hernandez (D), AD 57 Gerald Hill (D), AD 19 — Part Jared Huffman (D), AD 6 — Part of Orange and San Diego. — Part of Alameda. — Part of Los Angeles. of San Mateo. (916) 319-2019. Marin, part of Sonoma. (916) 319-2073. (916) 319-2018. (916) 319-2057. (916) 319-2006.

Kevin Jeffries (R), AD 66 — Dave Jones (D), AD 9 — Part Steve Knight (R), AD 36 — Part Paul Krekorian (D), AD 43 Ted Lieu (D), AD 53— Part of Part of Riverside and of Sacramento. (916) 319-2009. of Los Angeles and San — Part of Los Angeles. Los Angeles. (916) 319-2053. San Diego. (916) 319-2066. Bernardino. (916) 319-2036. (916) 319-2043.

Dan Logue (R), AD 3 — Bonnie Lowenthal (D), AD 54 Fiona Ma (D), AD 12 — Part of Tony Mendoza (D), AD 56 Jeff Miller (R), AD 71 — Part Lassen, Nevada, Plumas, Sierra, — Part of Los Angeles. San Francisco and San Mateo. — Part of Los Angeles and of Orange and Riverside. Yuba and part of Butte and (916) 319-2054. (916) 319-2012. Orange. (916) 319-2056. (916) 319-2071. Placer. (916) 319-2003.

Bill Monning (D), AD 27 — Pedro Nava (D), AD 35 — Part Brian Nestande (R), AD 64 Roger Niello (R), AD 5 — Part Jim Nielsen (R), AD 2 — Colu- Part of Monterey, Santa Clara of Santa Barbara and Ventura. — Part of Riverside. of Placer and Sacramento. sa, Glenn, Modoc, Shasta, and Santa Cruz. (916) 319-2035. (916) 319-2064. (916) 319-2005 Siskiyou, Sutter, Tehama, part of (916) 319-2027. Butte and Yolo. (916) 319-2002. california chamber of commerce legislative pictorial review — november 21, 2008 California State Assembly Members

John Perez (D), AD 46 — Part Manuel Perez (D), AD 80 — Anthony Portantino (D), AD Curren D. Price Jr. (D), AD 51 Ira Ruskin (D), AD 21 — Part of Los Angeles. Imperial, part of Riverside. 44 — Part of Los Angeles. — Part of Los Angeles. of San Mateo and Santa Clara. (916) 319-2046. (916) 319-2080. (916) 319-2044. (916) 319-2051. (916) 319-2021.

Mary Salas (D), AD 79 — Part Lori Saldaña (D), AD 76 Jack Sieglock (R), AD 10 Jim Silva (R), AD 67 — Part of Nancy Skinner (D), AD 14 of San Diego. (916) 319-2079. — Part of San Diego. — Amador, part of El Dorado, Orange. (916) 319-2067. — Part of Alameda and Contra (916) 319-2076. Sacramento and San Joaquin. Costa. (916) 319-2014. (916) 319-2010.

Cameron Smyth (R), AD 38 Jose Solorio (D), AD 69 — Part Audra Strickland (R), AD 37 Sandré Swanson (D), AD 16 Tom Torlakson (D), AD 11 — — Part of Los Angeles and of Orange. (916) 319-2069. — Part of Kern, Los Angeles — Part of Alameda. Part of Contra Costa. Ventura. (916) 319-2038. and Ventura. (916) 319-2037. (916) 319-2016. (916) 319-2011.

Norma Torres (D), AD 61 Alberto Torrico (D), AD 20 Van Tran (R), AD 68 — Part of Michael Villines (R), AD 29 Mariko Yamada (D), AD 8 — Part of Los Angeles and San — Part of Alameda and Santa Orange. (916) 319-2068. — Part of Fresno, Madera and — Part of Solano and Yolo. Bernardino. (916) 319-2061. Clara. (916) 319-2020. Tulare. (916) 319-2029. (916) 319-2008. california chamber of commerce legislative pictorial review — november 21, 2008

Senate, Assembly Index

State Senate Index

1. Dave Cox (R-Fair Oaks) 15. Abel Maldonado (R-Santa Maria) 29. Bob Huff (R-Diamond Bar) 2. Patricia Wiggins (D-Santa Rosa) 16. Dean Florez (D-Shafter) 30. Ron Calderon (D-Montebello) 3. Mark Leno (D-San Francisco) 17. George C. Runner (R-Lancaster) 31. Bob Dutton (R-Rancho Cucamonga) 4. Samuel Aanestad (R-Grass Valley) 18. Roy Ashburn (R-Bakersfield) 32. Gloria Negrete McLeod (D-Chino) 5. Lois Wolk (D-Davis) 19. Tony Strickland (R-Moorpark) 33. Mimi Walters (R-Laguna Niguel) 6. Darrell Steinberg (D-Sacramento) 20. Alex Padilla (D-Pacoima) 34. Lou Correa (D-Santa Ana) 7. Mark DeSaulnier (D-Concord) 21. Carol Liu (D-La Cañada Flintridge) 35. Tom Harman (R-Huntington Beach) 8. Leland Yee (D-San Francisco) 22. Gilbert Cedillo (D-Los Angeles) 36. Dennis Hollingsworth (R-Murrieta) 9. Loni Hancock (D-Berkeley) 23. Fran Pavley (D-Agoura Hills) 37. John J. Benoit (R-Riverside) 10. Ellen Corbett (D-San Leandro) 24. Gloria Romero (D-Los Angeles) 38. Mark Wyland (R-Del Mar) 11. Joe Simitian (D-Palo Alto) 25. Roderick Wright (D-Inglewood) 39. Christine Kehoe (D-San Diego) 12. Jeff Denham (R-Merced) 26. Mark Ridley-Thomas (D-Los Angeles) 40. Denise Moreno Ducheny (D-San Diego) 13. Elaine Alquist (D-Santa Clara) 27. Alan Lowenthal (D-Long Beach) 14. Dave Cogdill (R-Modesto) 28. Jenny Oropeza (D-Long Beach)

State Assembly Index 1. Wesley Chesbro (D-Arcata) 28. Anna Marie Caballero (D-Salinas) 54. Bonnie Lowenthal (D-Long Beach) 2. Jim Nielsen (R-Gerber) 29. Michael Villines (R-Clovis) 55. Warren Furutani (D-Long Beach) 3. Dan Logue (R-Chico) 30. Danny Gilmore (R-Hanford) 56. Tony Mendoza (D-Artesia) 4. Ted Gaines (R-Roseville) 31. Juan Arambula (D-Fresno) 57. Ed Hernandez (D-La Puente) 5. Roger Niello (R-Fair Oaks) 32. Jean Fuller (R-Bakersfield) 58. Charles Calderon (D-Montebello) 6. Jared Huffman (D-San Rafael) 33. Sam Blakeslee (R-San Luis Obispo) 59. Anthony Adams (R-Hesperia) 7. Noreen Evans (D-Santa Rosa) 34. Connie Conway (R-Visalia) 60. Curt Hagman (R-Chino Hills) 8. Mariko Yamada (D-Davis) 35. Pedro Nava (D-Santa Barbara) 61. Norma Torres (D-Pomona) 9. Dave Jones (D-Sacramento) 36. Steve Knight (R-Palmdale) 62. Wilmer Amina Carter (D-Rialto) 10. Jack Sieglock (R-Lodi) 37. Audra Strickland (R-Moorpark) 63. Bill Emmerson (R-Redlands) 11. Tom Torlakson (D-Antioch) 38. Cameron Smyth (R-Santa Clarita) 64. Brian Nestande (R-Palm Desert) 12. Fiona Ma (D-San Francisco) 39. Felipe Fuentes (D-Sylmar) 65. Paul Cook (R-Yucca Valley) 13. Tom Ammiano (D-San Francisco) 40. Bob Blumenfield (D-Woodland Hills) 66. Kevin Jeffries (R-Lake Elsinore) 14. Nancy Skinner (D-Berkeley) 41. Julia Brownley (D-Santa Monica) 67. Jim Silva (R-Huntington Beach) 15. Joan Buchanan (D-Alamo) 42. Mike Feuer (D-Los Angeles) 68. Van Tran (R-Garden Grove) 16. Sandré Swanson (D-Oakland) 43. Paul Krekorian (D-Burbank) 69. Jose Solorio (D-Santa Ana) 17. Cathleen Galgiani (D-Stockton) 44. Anthony Portantino (D-La Cañada 70. Chuck DeVore (R-Irvine) 18. Mary Hayashi (D-Castro Valley) Flintridge) 71. Jeff Miller (R-Corona) 19. Gerald Hill (D-San Mateo) 45. Kevin de León (D-Los Angeles) 72. Mike Duvall (R-Yorba Linda) 20. Alberto Torrico (D-Newark) 46. John Perez (D-Los Angeles) 73. Diane Harkey (R-Dana Point) 21. Ira Ruskin (D-Redwood City) 47. Karen Bass (D-Los Angeles) 74. Martin Garrick (R-Solana Beach) 22. Paul Fong (D-Sunnyvale) 48. Mike Davis (D-Los Angeles) 75. Nathan Fletcher (R-San Diego) 23. Joe Coto (D-San Jose) 49. Mike Eng (D-Monterey Park) 76. Lori Saldaña (D-San Diego) 24. Jim Beall (D-San Jose) 50. Hector de la Torre (D-South Gate) 77. Joel Anderson (R-La Mesa) 25. Tom Berryhill (R-Modesto) 51. Curren D. Price Jr. (D-Inglewood) 78. Martin Block (D-San Diego) 26. Bill Berryhill (R-Ceres) 52. Isadore Hall (D-Compton) 79. Mary Salas (D-Chula Vista) 27. Bill Monning (D-Monterey) 53. Ted Lieu (D-Torrance) 80. Manuel Perez (D-Coachella)

Note: This pictorial roster is based on vote counts as of press time. Updates to the roster will be posted as needed at www.calchamber.com.

1215 K Street, Suite 1400, Sacramento, California 95814 (916) 444-6670 • Fax (916) 444-6685 • www.calchamber.com • [email protected] california chamber of commerce november 21, 2008 ● Page 5

CalChamber Public Affairs Council Hosts Varying Perspectives on November Election Politicians, Consultants, Journalists Weigh in on What Happened, What’s Next

The California Chamber of Commerce 120 representatives of CalChamber Public Affairs Council retreat on member firms. November 12–14 offered attendees a CalChamber Board member Timothy chance to look back at the general J. McCallion, West region president of election and look ahead to the 2010 Verizon, chairs the Public Affairs Council. Governor’s race and major policy issues Preparation for the 2009 retreat has facing business. already begun. For more information on “The New Political Era” was the theme the council and how to become a member, for the gathering in La Jolla at the Lodge contact Rob Lapsley, CalChamber vice at Torrey Pines, attended by more than president of public affairs.

Timothy J. McCallion, chair, CalChamber Public Affairs Council

Commenting on the impact of the media on the 2008 presidential campaign are panelists (from left) Beth Fouhy, Associated Press; Chris Lehane, Fabiani & Lehane; Ruben Navarrette, San Diego Union-Tribune; and Dan Morain, Los Angeles Times. Beth Miller, partner with Wilson-Miller Com- munications, served as moderator. Willie Brown, former Assembly speaker and mayor of San Francisco, comments on topics ranging from President-Elect Barack Obama’s campaign strategy to potential candidates for California governor in 2010.

Discussing the inside story of the 2008 elections are (from right): Doug Herman, Obama for President campaign/The Strategy Group; Roger Salazar, Acosta Salazar and spokesman for the Democratic Political consultant Dick Morris, credited with National Committee; John Fund, columnist, Wall Street Journal; and John Peschong, western states guiding former President ’s re- campaign director, McCain for President campaign. Former state Senator Jim Brulte, principal with election campaign in 1996, offers insights on the California Strategies, was the discussion moderator. Obama, McCain and Clinton campaigns and outlines a roadmap to the President-Elect’s first Photos by Aaron Lambert 100 days in office. november 21, 2008 ● Page 6 california chamber of commerce

CalChamber Members Receive Recognition for Running Fit Businesses

Two members of Award Winners l Sacramento Municipal Utilities the California District (Sacramento). Inspired by a Chamber of Following is more information about strongly committed management team, Commerce the CalChamber members that received a SMUD has a highly developed wellness have received Gold 2008 California Fit Business Award: culture. SMUD’s success is evidenced by 2008 Gold l Inc. (San Jose). This increased participation rates and a budget California Fit is the second year in a row that Cisco solely allocated to supporting employee Business Awards Systems has won a Gold award. Building health. from the a culture of health continues to be a top The Wellness Program strongly California Task Force priority for this innovative and health- encourages physical fitness: SMUD on Youth and Workplace Wellness. conscious employer. The Internet regularly hosts intra-company walk/runs, CalChamber members Cisco Systems networking company has more than sponsors marathons, offers gift card Inc. of San Jose and the Sacramento 17,000 employees in its San Jose rewards to employees for reaching Municipal Utilities District (SMUD) headquarters. stepping milestones and permits exercise were among just four businesses that Cisco’s Health Connections Program on company time. Use of the on-site received Gold awards from the task force. integrates health risk assessments, on-site fitness center increased 300 percent this More than 80 businesses across the state health screenings, health coaching, year. applied for this year’s award. condition management and health In addition, employees receive a $100 The task force launched the program education into a seamless program for the incentive to participate in the company’s in 2003 to acknowledge California Cisco family. Healthy Lifestyle Program, which businesses that are recognizing and Employees have access to a variety of assesses an individual’s health and promoting workplace wellness through healthy food options through the on-site coaches employees on wellness issues easy-access physical activity and cafes, including the Health Connections through monthly education seminars. nutrition options. meal, a nutritionally balanced option that SMUD also subsidizes healthy food The task force recognized honorees in is reduced-fat, low in sodium and fewer and beverage choices in its vending three categories: Gold, Silver and Bronze. than 600 calories. Cafe food stations label machines and cafeteria. The company’s The winners were selected using an organic, vegan, vegetarian and low-fat return on investment continues to grow uncompetitive rating system based upon menu items and also list comparative each year. The company estimates a the breadth of their health and wellness nutritional information. realistic total savings of approximately programs; the quality and focus of their Cisco’s on-site fitness centers service $579,300 per year by reducing policies; the involvement of their about 1,000 employees daily and offer preventable risks through employees’ leadership; the impact of their endeavors; personal training, wellness seminars and usage of SMUD’s wellness programming. and the reasons given for having wellness more than 660 group fitness classes per Employees rated it their top human programs. quarter. This fall, Cisco will open a state- resource benefit in 2007. Each application was evaluated by two of-the-art, on-site center for employees More information about the award is expert reviewers independent of the task and their family members with integrated available on the task force website at force. The entire review process took health care, fitness and child care www.wellnesstaskforce.org. more than two months. facilities.

Updated Website Offers Four-Phase Program to Improve Health

In an effort to help California employers help implement and support the activities and their employees be healthier, the of Take Action! Network for a Healthy California Take Action! is a part of a larger (Network) recently launched the updated worksite employee wellness initiative Take Action! A Worksite Employee developed by the Network for a Wellness Program website. Healthy California—Worksite Program. Replacing the website created in The program also has developed the 2005, the updated website includes new California Fit Business Kit, a collection content, updated worksite employee of 10 tools and resources to help wellness program information and a health by increasing fruit and vegetable employers develop and implement streamlined navigation system. consumption and physical activity in the a culture and environment at their Take Action! aims to combat obesity workplace. The website runs through worksites that support healthy eating and and workplace complacency with its the four phases of implementing Take physical activity among workers. free, 10-week, web-based program that Action! in a workplace and provides For more information, visit www. empowers employees to improve their user-friendly downloadable documents to takeactionca.com. california chamber of commerce november 21, 2008 ● Page 7

CalChamber Coalition Urges Obama, Congress to Approve Trade Agreements

The California When the agreement enters into force, 80 and is the seventh largest U.S. export Coalition for Free percent of U.S. consumer and industrial market (and California’s sixth largest Trade, a California exports to Colombia will be duty- market for farm exports). Chamber of free immediately, including nearly all In 2007, two-way trade between Commerce-led information technology products; mining, the two countries topped $82 billion coalition, has urged agriculture and construction equipment; and U.S. goods exports to Korea were President-Elect Barack medical and scientific equipment; auto $34.7 billion, a steady increase over Obama to work with parts; paper products; and chemicals. the previous five years. By giving U.S. Congress to approve The remaining tariffs phase out over exporters a leg up in the world’s 10th- the three pending free trade agreements 10 years. largest economy, the agreement with (FTA) during the “lame duck” session Korea will enhance the ability of U.S. over the next several weeks. U.S.-Panama FTA companies to compete in the dynamic In the November 10 letter, the When the U.S.-Panama FTA enters Asian economy. Korea is California’s coalition explains that the trade into force, 88 percent of U.S. consumer fifth largest exporting partner. In 2007, agreements with Colombia, Panama and industrial exports to Panama will California exported $7.5 billion to Korea. and Korea are all critical to consumers, become duty-free immediately, including The U.S.-Korea FTA will greatly workers, businesses, farmers and ranchers nearly all information technology expand market access in Korea for U.S. in California. These job-creating trade products; aircraft and related equipment; farmers, manufacturers, service providers agreements should be approved at a time agriculture and construction equipment; and financial services firms. Under the when they are needed more than ever. medical and scientific equipment; FTA, more than half of current U.S. environmental products; pharmaceuticals; agricultural exports to Korea—with a U.S.-Colombia FTA fertilizers and agro-chemicals. value of $1.6 billion—will become duty- Colombia is a dynamic economy with The remaining tariffs phase out over free immediately. a pro-U.S. government, and with whom 10 years. U.S. farmers and ranchers also Almost 95 percent of all bilateral U.S. trade has nearly doubled over the will become much more competitive, trade in consumer and industrial products last four years. Of the more than 9,000 benefiting from immediate duty-free will become duty-free within three U.S. companies exporting products to treatment of more than 60 percent of years under the agreement, and virtually Colombia, more than 85 percent are small current U.S. agriculture exports. all remaining tariffs on consumer and and medium-sized companies. Key U.S. agriculture exports such as industrial goods will be eliminated in 10 U.S. farmers and ranchers sell high-quality beef, other meat and poultry years. agricultural products to these markets, products, soybeans, most fresh fruit and The agreement also will eliminate and U.S. manufacturers are enjoying tree nuts, distilled spirits and wines, and significant non-tariff market access double-digit sales growth that will only many processed food products, will be barriers in Korea to U.S. goods, services grow when the tariffs are removed. duty-free upon entry into force of the and investment. Consumers in both A U.S.-Colombia FTA will increase FTA. Tariffs on most remaining U.S. farm countries stand to gain from the broad momentum toward lowering trade products will be phased out within 15 benefits of the agreement. barriers and set a positive example for years. other small economies in the Western The U.S.-Panama FTA will ensure Action Needed Hemisphere. that California’s firms can participate The CalChamber is urging members In 2007, California exported more on a competitive basis in the $5.25 of the business community to contact than $320 million to Colombia, making billion Panama Canal expansion project their representatives in Congress and ask it California’s 39th largest export that will offer many opportunities for them to support the trade agreements market. America’s two-way trade with U.S. providers of goods and services. with Colombia, Panama and Korea. Colombia reached $18 billion in 2007, Ultimately, the canal expansion will For a sample letter, visit www. making Colombia the ’ fifth benefit California exporters by increasing calchambervotes.com. largest trading partner in Latin America. the canal’s capacity, which will reduce Staff Contact: Susanne Stirling Trade and investment in Colombia the costs of transporting goods while already sustains thousands of U.S. jobs keeping up with the demands of a and the FTA will only open up more growing global economy. opportunities. According to the U.S. Department U.S.-Korea FTA of Commerce, International Trade The trade agreement with Korea is Next Alert: Administration, the U.S.-Colombia Free another big win for the California and Trade Agreement offers tremendous U.S. economies for many of the same December 5 opportunities for California’s exporters. reasons. Korea is a $1 trillion economy Periodicals Postage PAID PeriodicalsSacramento, CA CALIFORNIA CHAMBER OF COMMERCE Postage PAID Sacramento, CA CALIFORNIA CHAMBER OF COMMERCE

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commerce of chamber california november 21, 2008 2008 21, november Page 8 Page ●